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Grau v DAIIE; (COA-PUB, 12/17/1985; RB #890)

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Michigan Court of Appeals; Docket Nos. 81230 and 81231; Published  
Judges Gribbs, Cynar, and Duggan; Unanimous; Per Curiam    
Official Michigan Reporter Citation: 148 Mich App 82; Link to Opinion alt    


STATUTORY INDEXING:    
Standards for Deductibility of State and Federal Governmental Benefits [§3109(1)]  
Social Security Disability Benefits [§3109(1)]

TOPICAL INDEXING:
Social Security Disability and Death Benefits    


CASE SUMMARY:  
This unanimous per curiam Opinion reverses in major part Item No. 772. The Court of Appeals held that Social Security disability benefits received by plaintiff as a result of a disabling auto accident injury could properly be deducted from her no-fault benefits pursuant to the governmental setoff provisions of §3109(1) of the no-fault act and could also be set off from her employer-provided disability benefits pursuant to a collective bargaining agreement providing for such a setoff of governmental benefits. The court disagreed with the trial court's ruling that such a holding would result in a "double offset." The court stated:

"We disagree with the circuit court's analogy to 'other insurance' clause cases and its characterization of DAIIFs and the [employer's] offset of Social Security disability benefits as a 'double offset’ depriving plaintiff of funds to which she was entitled. The instant case does not involve two insurance contracts containing intractable conflicting clauses seeking to minimize coverage of the insured. The instant case involves a statutory no-fault offset and a bargained for contractual offset which do not setoff each other's benefits, but merely setoff a third benefit provided by the government."


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